NEW YORK (TheStreet) -- Shares of Agco (AGCO) - Get Report are dropping 6.35% to $45.26 on heavy trading volume Monday afternoon after JPMorgan slashed its rating on the stock to "underweight" from "neutral," the Fly reports.
The firm also reduced its price target to $44 from $47 on shares of the Duluth, GA-based agricultural equipment manufacturer and distributor.
JPMorgan cited weakening fundamentals in European agriculture and noted that Agco has the greatest exposure to Europe in its machinery coverage, the Fly added.
The firm also downgraded PACCAR (PCAR) stock and Parker-Hannifin (PH) shares earlier today.
Separately, stocks around the world are being pressured for a second trading session today by the U.K.'s decision early Friday to leave the European Union.
About 1.15 million of Agco's shares changed hands so far this afternoon vs. its average volume of 823,692 shares per day.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C+ on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels and largely solid financial position with reasonable debt levels by most measures.
But the team also finds weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: AGCO